A company primarily owned by the French and U. K. governments is offering Canada a plan worth about $250 million to deliver secure satellite internet coverage for military use in the Arctic, as reported by .
Eutelsat, competing with Elon Musk’s Starlink, already provides some services to the Canadian military but aims to strengthen its collaboration as Canada seeks to reduce reliance on American suppliers for defense contracts.
A proposal for Canada’s Department of National Defence to participate in a project led by France’s Ministry of Defence involving Eutelsat was reportedly discussed between French President Emmanuel Macron and Prime Minister Mark Carney during last year’s G7 summit in Alberta.
The prime minister’s initial question, according to Eutelsat and French defense officials, was about how this proposal might impact Telesat Corporation, a former Canadian Crown corporation that became privatized in the 1990s.
Telesat is currently working on its Lightspeed system, which consists of a Low Earth Orbit (LEO) satellite constellation designed for high-speed broadband access.
In mid-December, the Liberal government revealed it had formed a strategic partnership with Telesat and MDA Space aimed at enhancing the military satellite communications (MILSATCOM) capabilities of the Canadian Armed Forces.
“We can do that today; it just requires that Canadian government says yes regarding taking that [satellite] capacity from us before distributing it.”
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‘Sovereign capacity’
An official from Eutelsat stated that the company already operates its own satellite network alongside Canadian partners and has been supporting the Canadian military stationed in Latvia. “What we can provide for Canada is what we call a sovereign capacity capability where Canada would actually own all of our capacity in the Far North or wherever they require it,” said David van Dyke, general manager for Canada at Eutelsat, in a recent interview with . “We also give them the ability to not be under the control of a singular individual who could decide to disconnect the service for political or other reasons.” Van Dyke is primarily referencing reports indicating that Musk ordered Starlink services turned off in Ukraine during a crucial moment when Eastern Europe was attempting to reclaim territory from Russia in late September 2022. This order disrupted operations in areas including Kherson, an important region north of the Black Sea. At least 100 terminals ceased functioning based on sources who spoke with Reuters News Agency.Souring on Starlink?
Starlink has hundreds of thousands of users across Canada and has played a vital role in providing broadband internet access in remote areas. Starlink is part of Musk’s Space X rocket business. However, Musk’s previous role leading Government Efficiency under U. S. President Donald Trump has dampened enthusiasm so much that Ontario-frustrated by U. S. tariffs-officially canceled a $100-million contract with Starlink last summer intended for northern communities. Eutelsat holds several significant contracts with the U. S. government, including those related to Pentagon operations. However, since Trump’s return to office, at least one large contract worth $55 million US from the U. S. Department of Defense has not been renewed. The company’s chief financial officer, Christophe Caudrelier, mentioned last spring that this non-renewal “reflects the change in the new presidential administration’s geographic prioritization for Defense Department projects along with broader efforts to cut overall government spending.” Eutelsat supplies secure communication solutions within aviation contexts connecting manned aircraft and drones while also supporting airborne intelligence gathering efforts according to information available on their website. The largest shareholder in Eutelsat is still the French government while Indian multinational Bharti Space Ltd. and UK government hold major shares too. A key part of Eutelsat’s appeal involves familiar themes such as finding dependable defense partners while maintaining control over secure systems and data management. “We’re giving them the opportunity to have control and partner with trusted nations while providing everything they need for initiatives like over-the-horizon radar sites NORAD modernization projects as well as expanding into Northern defense,” stated van Dyke.“We can do that today; it just requires that Canadian government says yes regarding taking that [satellite] capacity from us before distributing it.”
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